MIRA
INFORM REPORT
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Report Date : |
22.11.2013 |
IDENTIFICATION DETAILS
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Name : |
IMAYO & CO LTD |
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Registered Office : |
218 Okuracho Takeyamachi-Agaru Karasumadori Nakagyoku Kyoto 604-0861 |
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Country : |
Japan |
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Financials (as on) : |
30.04.2013 |
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Date of Incorporation : |
May, 1966 |
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Legal Form : |
Limited Company (Kabushiki Kaisha) |
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LINE OF BUSINESS : |
IMPORTS,
EXPORTS AND WHOLESALES DIAMONDS, EMERALDS, SAPPHIRES, PEARLS, COLORED STONES, OTHERS (--60%), FINGERINGS,
EARRINGS, BROACHES, PENDANTS, NECKLACES, BRACELETS, OTHER JEWELRY PRODUCTS
(--40%). |
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No. of Employees : |
58 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear |
NOTES:
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March, 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Japan |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
JAPAN - ECONOMIC
OVERVIEW
In the years following World War II, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. Two notable characteristics of the post-war economy were the close interlocking structures of manufacturers, suppliers, and distributors, known as keiretsu, and the guarantee of lifetime employment for a substantial portion of the urban labor force. Both features are now eroding under the dual pressures of global competition and domestic demographic change. Japan's industrial sector is heavily dependent on imported raw materials and fuels. A small agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. While self-sufficient in rice production, Japan imports about 60% of its food on a caloric basis. For three decades, overall real economic growth had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt, capital, and labor. Modest economic growth continued after 2000, but the economy has fallen into recession three times since 2008. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan into recession. Government stimulus spending helped the economy recover in late 2009 and 2010, but the economy contracted again in 2011 as the massive 9.0 magnitude earthquake and the ensuing tsunami in March disrupted manufacturing. The economy has largely recovered in the two years since the disaster, but reconstruction in the Tohoku region has been uneven. Newly-elected Prime Minister Shinzo ABE has declared the economy his government's top priority; he has pledged to reconsider his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus and regulatory reform and has said he will press the Bank of Japan to loosen monetary policy. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2012 stood as the fourth-largest economy in the world after second-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2012. The new government will continue a longstanding debate on restructuring the economy and reining in Japan's huge government debt, which exceeds 200% of GDP. Persistent deflation, reliance on exports to drive growth, and an aging and shrinking population are other major long-term challenges for the economy.
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Source
: CIA |
Company name & address
IMAYO & CO LTD
REGD NAME: KK Imayo
MAIN OFFICE: 218 Okuracho Takeyamachi-Agaru Karasumadori
Nakagyoku Kyoto 604-0861
JAPAN
Tel:
075-211-5141
Fax: 075-211-3626
*.. Registered
at: 7 Narutaki-Fujinokicho Ukyoku Kyoto
E-Mail address: www@imayo.co.jp
ACTIVITIES
Import, export, wholesale of diamond, other gemstones, jewelry products
BRANCHES
Tokyo
OVERSEAS
TNT Trading (HK) Ltd; Imayo (Singapore) Pte Ltd; Imayo (Malaysia) Sdn
Bhd; Thai Imayo Co Ltd (--subsidiaries)
FACTORIES
Kyoto, Osaka (subsidiaries)
OFFICER(S)
NOBUHIRO IMANISHI, PRES Yoshihiro
Imanishi, mgn dir
Nobutaka Imanishi, mgn dir Takahiro
Imanishi, dir
Yen Amount: In million Yen,
unless otherwise stated
SUMMARY
FINANCES FAIR A/SALES Yen 2,221 M
PAYMENTS SLOW BUT CORRECT CAPITAL Yen 96 M
TREND UP WORTH Yen 1,160 M
STARTED 1966 EMPLOYES 58
COMMENT
TRADING HOUSE SPECIALIZING IN JEWELRY.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY
BUSINESS ENGAGEMENTS.
HIGHLIGHTS
The subject company was established originally in 1861 when Yohei Imanishi started a business in jewelry trading, on his
account. Imayo is named after the founder.
Incorporated in 1966, the firm has been succeeded by his
descendants. Nobuhiro is the 5th
generation master, who took the office of presidency in July 1982. This is a trading firm, solely owned and
operated by the Imanishi family, specializing in importing, exporting and
wholesaling diamonds, emeralds, sapphire, colored stones, also handling
earrings, fingerings, broaches, necklaces, pendants, other jewelry products. Goods are imported from Italy, Belgium,
India, Israel, Hong Kong, Thailand, etc.
Owns 5 subsidiaries, of which two in jewelry processing, one in
retailing.
FINANCIAL INFORMATION:
The sales volume for Apr/2013 fiscal term amounted to Yen 2,221 million,
a 0.5% up from Yen 2,076 million in the previous term. The recurring profit was posted at Yen 51
million and the net profit at Yen 124 million, respectively, compared with Yen
23 million recurring loss and Yen 286 million net losses, respectively, a year
agoo
For the current term ending Apr 2013 the recurring profit is projected
at Yen 1,100 million and the net profit at Yen 850 million, respectively, on a
3% rise I turnover, to Yen 3,300.
The financial situation is considered FAIR and good for ORDINARY
business engagements.
REGISTRATION
Date
Registered: May 1966
Regd No.: (Kyoto-Ukyoku) 000227
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 768,000 shares
Issued: 192,000 shares
Sum: Yen 96 million
Major shareholders
(%):
Nobuhiro Imanishi (309), Yoshihiro Imanishi (15), Nobutaka Imanishi (10)
No. of
shareholders: 20
Nothing detrimental is known as to the commercial morality of
executives.
OPERATION
Activities: Imports, exports
and wholesales diamonds, emeralds, sapphires, pearls, colored stones, others (--60%), fingerings,
earrings, broaches, pendants, necklaces, bracelets, other jewelry products
(--40%).
Jewelry mfg & processing is done by two subsidiary makers; retailing
by KK Diamond House (a subsidiary company).
Imports (80%)
Clients
[Jewelry processors, jewelry stores] Citizen Trading, Mitsukoshi Isetan,
Shinyuu Trading, Jewel Hama, JR West Japan, Kashikey Co, Kyouhou, We Can Co,
other.
No. of accounts: 800
Domestic areas of activities: Nationwide
Suppliers: [Mfr,
wholesalers] Imports from Israel, India, Hong Kong, Belgium, Thailand, Italy,
Malaysia, other.
Also domestically supplied from We Can Co, Oriental Diamond, Sojitz
Jewelry, Shinyuu Trading, KF, Takaya Gem, other.
Payment record: Slow but correct
Location: Business area in
Kyoto. Office premises at the caption
address are owned and maintained satisfactorily.
Bank References:
SMBC (Kyoto)
Mizuho Bank (Kyoto)
Relations: Satisfactory
FINANCES
(In Million Yen)
|
30/04/2014 |
30/04/2013 |
30/04/2012 |
30/04/2011 |
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Annual Sales |
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2,300 |
2,221 |
2,076 |
2,635 |
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Recur. Profit |
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60 |
-51 |
-23 |
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Net Profit |
|
130 |
124 |
-286 |
-48 |
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Total Assets |
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2,820 |
2,598 |
2,680 |
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Current Assets |
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1,756 |
1,946 |
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Current Liabs |
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1,082 |
1,108 |
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Net Worth |
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|
1,160 |
1,035 |
13,222 |
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Capital, Paid-Up |
|
|
96 |
96 |
96 |
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Div.P.Share(¥) |
|
|
0.00 |
0.00 |
2.80 |
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<Analytical
Data> |
(%) |
(%) |
(%) |
(%) |
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S.Growth Rate |
3.56 |
6.98 |
-21.21 |
-5.62 |
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Current Ratio |
|
.. |
162.29 |
175.63 |
.. |
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N.Worth Ratio |
.. |
41.13 |
39.84 |
493.36 |
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R.Profit/Sales |
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2.61 |
-2.30 |
-1.11 |
.. |
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N.Profit/Sales |
5.65 |
5.58 |
-13.78 |
-1.82 |
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Return On Equity |
.. |
10.69 |
-27.63 |
-0.36 |
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Notes: Forecast (or estimated) figures for the 30/04/2014 fiscal
term.
DIAMOND INDUSTRY – INDIA
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From time immemorial, India is well known in the world as the birthplace
for diamonds. It is difficult to trace the origin of diamonds but history
says that in the remote past, diamonds were mined only in India. Diamond
production in India can be traced back to almost 8th Century B.C.
India, in fact, remained undisputed leader till 18th Century when
Brazilian fields were discovered in 1725 followed by emergence of S. Africa,
Russia and Australia.
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The achievement of the Indian diamond industry was possible only due to
combination of the manufacturing skills of the Indian workforce and the
untiring and unflagging efforts of the Indian diamantaires, supported by
progressive Government policies.
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The area of study of family owned diamond businesses derives its
importance from the huge conglomerate of family run organizations which operate
in the diamond industry since many generations.
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Some of the basic traits of family run business enterprises include
spirit of entrepreneurship, mutual trust lowers transaction costs, small,
nimble and quick to react, information as a source of advantage and philanthropy.
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Family owned diamond businesses need to improve on many fronts including
higher standard of corporate governance, long-term performance – focused
strategies, modern management and technology.
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Utmost caution is to be exercised while dealing with some medium and
large diamond traders which are usually engaged in fictitious import – export,
inter-company transactions, financially assisted by banks. In the process,
several public sector banks lost several hundred million rupees. They mostly
diverted borrowed money for diamond business into real estate and capital
markets.
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Excerpts from Times of India dated 30th October 2010 is as
under –
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Gem & Jewellery Export Promotion Council in its statistical data has
shown the export of polished diamonds to have increase by 28 % in February
2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012,
India exported $ 1.84 billion worth of polished diamonds in February 2013. A
senior executive of GJEPC said, “Export of cut and polished diamonds started
falling month-wise after the imposition of 2 % of import duty on the polished
diamonds. But February, 2013 has given a new ray of hope to the industry as the
export of polished diamonds has actually increased by 28 %. It means the
industry is on the track of recovery and round tripping of diamonds has
stopped completely.” Demand has started coming from the US, the UK, Japan and
China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.
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The banking sector has started exercising restraint while following
prudent risk management norms when lending money to gems and jewellery sector.
This follows the implementation of Basel III accord – a global voluntary
regulatory standard on bank capital adequacy, stress testing and market liquidity.
FOREIGN EXCHANGE RATES
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Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.89 |
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|
1 |
Rs.101.14 |
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Euro |
1 |
Rs.84.42 |
INFORMATION DETAILS
|
Report Prepared
by : |
NNA |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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This score serves as a reference to assess SC’s credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.